North-South high-speed railway project submitted to parliament for consideration

This ambitious railway line will stretch approximately 1,541 km from Ngoc Hoi Station in Hanoi to Thu Thiem Station in Ho Chi Minh City, passing through 20 provinces. It will feature double-track lines, a 1,435 mm gauge, and a design speed of 350 km/h. Along the route, there will be 23 passenger stations, each with an adjacent development zone of 200 to 500 hectares, and five freight stations, each around 24.5 hectares in size.

Primarily intended for passenger transport, the route will also be adaptable to defense, security, and freight needs if required. The route has been optimized to be as direct as possible, avoiding sensitive areas and densely populated regions to minimize environmental impact and resettlement requirements.

The project will cost Vietnam US$67.34 billion in public investment and will be constructed in 12 years from 2025 to 2037. Construction is expected to begin in 2027, with the full line aimed for completion by 2035. To support funding, the government will draw from various legitimate sources, including the State budget allocated in medium-term public investment plans.

The high-speed railway is expected to boost connectivity between economic hubs, opening new economic spaces and enhancing Vietnam’s competitiveness. It aims to foster sustainable, modern transportation, and reduce traffic accidents and environmental pollution.

Originally conceived in 2010, the project faced concerns regarding speed, operational plans, and funding, given Vietnam’s smaller economy and high public debt at the time. Now, with economic growth projected at US$564 billion by 2027 and a lower public debt level at about 37% of GDP, the government believes that the project’s feasibility has significantly improved, said Transport Minister Nguyen Van Thang, while presenting the project proposal on behalf of the Prime Minister.

If approved, the North-South high-speed railway project is expected to become a crucial foundation for Vietnam to advance toward becoming a developed country with a high-income economy, while also driving the development of the railway industry and supporting industries, he said.

Appraising the Government’s proposal, Vo Hong Thanh, chairman of the National Assembly’s Economic Committee, said the project meets the criteria for a significant national project, under the jurisdiction of the National Assembly to approve the investment policy, as stipulated in Article 7 of the Public Investment Law.

The Economic Committee has emphasized the need for a comprehensive evaluation of the project’s financial aspects and a review of global best practices in high-speed rail. Therefore, it has recommended an in-depth review during the feasibility study phase to ensure optimal integration with existing national, regional, and international transport networks, said Thanh.